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Why is Customer Engagement Important?

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As you might have known, customer engagement plays an important role in business growth. Customer engagement itself refers to the process of creating and maintaining deep connections between customers and a brand. It can be done by several methods, such as social media interactions, email marketing campaigns, events, etc.

Customer engagement helps build customer loyalty by establishing a connection with them beyond a simple business transaction. Customers are more apt to use a brand again and recommend it to others when they feel heard and valued. Moreover, companies that engage with customers can gain valuable insight into the customers’ preferences, problems, and behavior. With this information, companies can tailor their products, services, and marketing initiatives, improving customer satisfaction and retention.

In fact, the degree of customer engagement correlates directly and consistently with business profitability. Research shows that businesses that boost engagement can increase cross-sell revenue by 22%, up-sell revenue by 38%, and order size by 5 to 85% (Constellation Research, 2016).

What is the best customer engagement activity you’ve seen so far? Share your thoughts down below!

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